Highlights:

·       MBA029 returned 146m @ 1.0 g/t gold from 23m depth in hydrothermally altered rhyolite intrusive rocks. This interval is part of a wider zone of mineralization with the entire hole returning 213m @ 0.8 g/t gold and terminating in mineralization, indicating the mineralized body remains open at depth.

·       As with previous drill intercepts, the gold values in MBA029 are remarkably consistent with a peak value of 2.4g/t gold. The collar of drill hole MBA029 is located 85m south-east of the original discovery holes and extends the known mineralization both to the north, south and to depth.

·       Other significant drill results include:

·       MBA016: 90m @ 0.6g/t Au from 14m and 65m @ 0.4g/t from 118m

·       MBA018: 105m @ 0.5g/t Au from 23m and 24m @ 0.4g/t Au from 144m

·       MBA020: 72m @ 0.4 g/t Au from 59m

·       MBA022: 53m @ 0.7 g/t Au from surface

·       MBA025: 26m @ 0.5 g/t Au from 68m and 40m @ 0.5g/t Au from 118m

·       MBA027: 41m @ 0.4g/t Au from surface

CEO Mike Bennett commented; “This result is by far the best drill intercept to date at Maria Bonita and confirms the depth continuity and pervasive style of the mineralization. We have more than doubled the previous best depth extent to the mineralization. The consistency of gold values down-hole reinforces the presence of a significant disseminated mineralized system in intrusive rocks which is open to the north and south and at depth. It also enhances the prospectivity of the target and suggests a north-east plunge to the known zone of coherent mineralization at or around 1g/t gold. Maria Bonita is a “blind” discovery with no outcrop, and we are extremely encouraged to have now identified extensions to the core mineralized zone which gives us further drill targets to pursue”.

CAJUEIRO PROJECT 

The Cajueiro project is located approximately 75km NW of the town of Alta Floresta in the state of Mato Grosso (Figure 1) in central western Brazil and is easily accessible by road and has grid power and local water supply. Cajueiro is the most advanced of three key projects that Altamira controls in the region, the other two being Apiacas and Santa Helena (Figure1).

Maria Bonita Target 

Maria Bonita is located 7km west of the Cajueiro mineral resource and is easily accessible by road. The current drill programmed is follow-up to the initial round of discovery drillholes which include 69m @ 1g/t gold (MBA005), 50m @ 1.1 g/t gold (MBA004), 55m @ 1.0 g/t gold (MBA002), 50m @ 1.0 g/t gold (MBA001) and 45m @ 1.4 g/t gold (MBA003) – all from surface (see press releases dated September 7, November 16, 2022, and January 18, 2023). The gold mineralization is notably uniform and pervasive in the initial discovery holes, with a peak assay value of 7.7 g/t Au. Initial metallurgical tests returned gold recoveries of 88% (column leach of saprolite) and 90% (agitated leach in saprolite and fresh rock) on composite drill core samples.

There is no outcrop in the project area, therefore this second drill programme is largely guided by the results of the prior drilling, plus ground magnetics and soil survey data. Prior soil surveys have defined a pronounced soil anomaly over 0.4 g/t gold, measuring 250m by 300m, within a larger trapezoid-shaped magnetic low, bounded by interpreted structures (see Figure 2 and the press release dated December 5, 2023). The extensive magnetic low may reflect the hydrothermally altered package of host mineralized intrusive rocks.

This second drill programme was planned to determine the limits to the known bedrock gold mineralization at Maria Bonita. To date, in the current programme, 19 diamond core drillholes have been completed for a total of 3,304 metres.

Table 1 and Figure 2 show the drillholes for which complete assay data is available.

The drill data show a general positive correlation between quartz vein intensity and gold in the rhyolite intrusive, however overlapping chlorite and sericite rich alteration events also influence gold content. A three-dimensional geological model has been constructed and updated as drill data has been received. This model is used to interpret the grade distribution in three dimensions as assays are received, allowing the drill plan to be updated accordingly.

Most drillholes intersected highly anomalous and relatively consistent gold over very thick intervals. Typically, these values were in the range 0.3 – 0.5g/t Au over 50-100m with the central  zone containing consistent grades around 1g/t Au. The geometry of the core zone is a key focus in the ongoing interpretation as this will drive the economics of any future hard rock mineral resource.

The mineralizing event is likely to have consisted of more than one phase, overlapping in three dimensions. Prior petrological evidence from the demagnetisation of original magnetite in the quartz stockworks confirms the concept of a multi-phase hydrothermal system. In this scenario, interpretation of the alteration halos and style of veining is key to determining vectors towards potentially better grade.

The drill data will lead to a geological model in which the alteration and mineralization envelopes can be interpreted as the basis for a mineral resource estimate.

i) screen fire assay – each sample consists of 1000g of crushed sample

ii) a non-destructive, neutron activation analytical method (400g of crushed sample)

These methods analyse a significantly larger sample than the conventional 50g fire assay, used routinely in the industry (and used to date by Altamira) and should reduce the statistical risk of missing particulate (visible) gold in zones where such gold is recorded or suspected. Results will be assessed as they are received.

The current drill results have successfully identified a broader and deeper mineralized zone than previously recognised from the initial round of drilling. The mineralization has been confirmed to have a three-dimensional form and to extend from surface to at least 213m downhole (174m below surface). Further drilling is now planned, using a rig on site, to further test the recent higher-grade and deeper discovery in hole MBA029 plus the zones of shallow mineralization that remain open such as that in hole MBA022 (Figure 4).

Qualified Person

Guillermo Hughes, FAIG and M AusIMM., a consultant to the Company as well as a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.

About Altamira Gold Corp.

The Company is focused on the exploration and development of gold and copper projects within western central Brazil. The Company holds 6 projects comprising approximately 190,000 hectares, within the prolific Juruena gold belt which historically produced an estimated 7 to 10Moz of placer gold. The Company’s advanced Cajueiro project has NI 43-101 resources of 5.66Mt @ 1.02 g/t gold for a total of 185,000 oz in the Indicated Resource category and 12.66Mt @ 1.26 g/t gold for a total of 515,000oz in the Inferred Resource category.